FX Trading News & Strategies from Australian Stock Report
The RBA surprised the market today by keeping rates on hold, at 4.25%. The decision, delivered at 2:30pm, AEDT, caused a sharp spike in the Aussie dollar, sending it surging into a six-month high of 1.0810. The market had priced in the likelihood of a further 25 basis point cut, hence the strong reaction when [...]
Whilst there is the possibility that the pullback phase is now in place, we would need to see some further follow through higher to confirm this. We note resistance through 1.3230-40, which needs to be cleared in order to maintain pressure to the topside. If 1.3230-40 is cleared, the next target region becomes 1.3430-40 initially, [...]
The key region to watch at the moment with regard to the EURUSD is the 1.3200-40 region. This price region has previously acted as both support (October and November last year) and resistance (December last year). The region also represents the 38.2% Fibonacci retracement level from the late-October high to mid-January low. In order for [...]
The Aussie and Kiwi dollars swung between gains and losses overnight amid concerns the ECB’s measures to boost liquidity may not stem the region’s debt crisis. At the NY close the AUD was 0.2% firmer against the greenback, holding above parity at 1.0092. The local unit fared slightly better against the Japanese yen, settling 0.4% [...]
The bias for the AUDSGD is bearish. On the four-hour chart (right) the shorter-term EMAs are crossed lower and the price action is below the longer-term EMA filter, which is negative. Whist we are bearish, we note support at 1.2930 which would need to be breached before shorts can be taken. This can be facilitated [...]
Currency markets were fairly subdued overnight, as were equity and commodity markets after the previous session’s massive retreat from risk. The Aussie dollar eked out a modest gain against the greenback, adding 0.1% but remaining below parity, at 0.9913, by this morning’s NY close. The local unit didn’t fare so well against the Japanese yen, [...]
The bias for the Cable (GBPUSD) is bearish. We note the shorter-term EMAs crossed lower and diverging and the price action below the longer-term EMA filter, which is negative. Whilst we are bearish, we note support at 1.5400 and would only be sellers if this level were to be breached. To facilitate this, traders can [...]
Heading into the new trading week the bias remains neutral to bearish for the EUR/USD. A break below 1.3210 would ensure the current bearish momentum is maintained and could open up a pathway into 1.3140 initially, followed by 1.3040. As such, traders can consider on stop sell orders at 1.3190. Whilst the 17-nation currency will [...]
We note an uptrend support channel on the GBPNZD which we have highlighted in the chart. In recent months, every time the price action has tested the lower side of the range, a rally has ensued. The GBPNZD currency pair is presently testing the lower side of the range once more, also at 2.0000 which [...]
GBPUSD Trading Commentary: February 6
The bias for the GBPUSD (Cable) is neutral to bullish. In the near-term the price action has been very bullish, moving from approximately 1.5250 in mid-January to currently be trading around 1.5800. The shorter-term EMAs are crossed higher and diverging, and the price action has just recently moved above the longer-term EMA filter and pervious [...]